March 2016- The PROPEL Energy Tech Forum was held on March 16-17 in Calgary, Alberta at the Westin Calgary. The forum featured many people from the oil and gas industry from across North America. ADI’s CEO, Uday Turaga was also invited to attend.
ADI Analytics worked on a study to figure out best practices to reduce unconventional costs and investigate best practices for technology and innovation. Using our past and current expertise in evaluating and benchmarking upstream drilling and completion costs for both conventional and unconventional resources, we were able to create an extensive 32-page report which was presented at the PROPEL Energy Tech Forum. Showcasing ADI’s data and analysis, our presentation was titled, “Going from Optimization to Innovation in Unconventional Oil and Gas.”
Some of the insights we delivered were shown through four key messages. First, North American unconventional players are benefiting more from operational practices. Two, drilling rig productivity and multi-well pads have provided most of the cost reductions in North American unconventionals, which have mainly come about from deep price discounts through oilfield services. Three, completion costs have not really fallen and could be a fertile ground for new technologies and innovation. Fourth, unconventional cost reductions have come mainly from operational optimization rather than the development of and adoption of new technologies. Across the value chain, players have been taking initiatives to reduce costs but mainly to optimize operations. Despite this, there are still major innovation challenges throughout exploration, drilling and completions, and production.
ADI concluded by providing possible ways to put the wells in the right places based on our data. To find out what we suggest and to access our full detailed report, click here: >> 2016 Propel Energy Tech Forum
